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Competency 309.3.2: PERT/CPM Techniques The graduate correctly applies PERT/CPM techniques
to project management tasks.
Objectives:
309.3.201: Determine the critical path identified by a given PERT/CPM analysis.
309.3.202: Utilize PERT analysis to determine the probability that a given project will meet a specified
deadline for completion.
309.3.203: Determine slack time for a given project activity.
309.3.204: Determine scheduled start time for a given project activity.
309.3.205: Determine scheduled completion time for a given project activity.
309.3.206: Use timecost tradeoffs to appropriately crash a project network.
Introduction:
This task requires candidates to prepare a program evaluation and review technique (PERT) chart and
apply critical path method (CPM) techniques.
Given:
Company A is installing a Webbased customerfeedback system to meet customer needs for quick
response when rolling out new products. A new product line is rolling out in 48 weeks and the customer
feedback system must be installed and running in time for the new product launch. Table 1.1 in the
attached Excel spreadsheet “PERT/CPM Analysis Table” shows three estimates of the time it will take
Company A to complete each of the project activities in the customer feedback system project (optimistic,
probable, pessimistic).Company B is installing a similar feedback system to accompany a new product
line and originally had the same time line as Company A.
Company B just announced that its new product line is ahead of schedule and will be launched in 44
weeks instead of the initially projected 48 weeks. Because the Webbased customer feedback system
must be installed and running in time for the revised date of the product launch, something must be done
to shorten implementation time required for the customerfeedback system project. Refer to Table 1.2 in
the attached Excel spreadsheet “PERT/CPM Analysis Tables” that lists the expected time it will take to
complete the activities if shortened as much as possible (crash time), the cost to complete the activity
using normal resources (normal cost), and the cost of completing the activity on an accelerated basis
(crash cost).
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Task:
A. Use the estimates for Company A in Table 1.1 to do each of the following:
1. Determine the expected completion time for each of the nine project activities.
a. Enter all your answers in Table 1.1, showing all of your work.
2. Determine the variance for each project activity
a. Entering all your answers in Table 1.1, showing all of your work.
3. Prepare a PERT chart showing the network diagram with activity times and their expected
durations.
a. Identify the critical path in the PERT chart.
Note: When the files opens, enter your name and student ID in the respective boxes so the
task questions and problems will populate the worksheet. If the attached template does not
open or is missing information, please contact Ecare for assistance with opening the file.
Note: Any additional numbers included in the PERT chart will not be evaluated for
correctness.
Note: If you don’t have software to build a PERT chart, use text boxes with lines or arrows in a
word processing program or a spreadsheet program.
4. Determine each of the following, showing all of your work or reasoning:
a. Expected duration of the entire project
b. Slack for project Activity E
c. Slack for project Activity C
d. The earliest week project Activity F is scheduled to start
e. The latest week project Activity G is scheduled to finish
Note: Referencing a value in the PERT chart is not considered showing work. Please explain
how the value was determined.
5. Determine the probability of completing this project in time for the product launch in 48 weeks,
showing all of your work.
Note: You may want to use the complete cumulative normal table located at;
http://homes.cs.washington.edu/~jrl/normal_cdf.pdf
B. Use your results from part A1 and the data in Table 1.2 to determine the following:
1. Maximum reduction in time
a. Enter your answer for part B1 in Table 1.2, showing all your work.
2. Crash cost per week
a. Enter your answer for part B2 in Table 1.2, showing all your work.
Note: For your responses to parts B1 and B2, assume that Company B has the same expected
completion times for project activities as Company A.
C. Identify the following by using your results from part B:
1. Least costly activities to be crashed in order to complete the project within 44 weeks
2. Number of weeks each of the activities identified in part C1 should be crashed to meet the
deadline with the lowest possible increase in cost
3. Total additional cost due to crashing of the activities identified in part C1
D. When you use sources, include all intext citations and references in APA format.
Note: To reduce unnecessary matches select ignore “small matches <20 words” and “bibliography.”
Note: For definitions of terms commonly used in the rubric, see the attached Rubric Terms.
Note: When using sources to support ideas and elements in a paper or project, the submission MUST
include APA formatted intext citations with a corresponding reference list for any direct quotes or
paraphrasing. It is not necessary to list sources that were consulted if they have not been quoted or
paraphrased in the text of the paper or project.
Note: No more than a combined total of 30% of a submission can be directly quoted or closely
paraphrased from sources, even if cited correctly. For tips on using APA style, please refer to the APA
Handout web link included in the General Instructions section.
File Attachments:
1. PERT/CPM Tables. link opens in new window
When the files opens, enter your name and student ID in the respective boxes so the task questions and problems will populate
the worksheet.
Web Links:
1. Rubric Terms link opens in new window
Evaluation Method
